Consolidated Thompson Iron Mines Limited
TSX : CLM

Consolidated Thompson Iron Mines Limited

January 23, 2008 15:41 ET

Agreement Reached Between Consolidated Thompson and the Innu Takuaikan Uashat Mak Mani-Utenam (ITUM) Band Council

MONTREAL, QUEBEC--(Marketwire - Jan. 23, 2008) - Following high-level talks, representatives of the Innu Takuaikan Uashat Mak Mani-Utenam (ITUM) band council and Consolidated Thompson Iron Mines Limited (TSX:CLM) are pleased to announce that they have reached an agreement regarding the development of the Bloom Lake project. The two parties have signed an Agreement In Principle (AIP) intended to provide a framework for fast track discussions towards establishing an industrial benefits agreement for the project.

Consolidated Thompson believes that the AIP demonstrates Consolidated Thompson's respect for their First Nation counterparts and that ITUM fully supports the development of the Bloom Lake project. Under the terms of the AIP, the representatives of the Innu Takuaikan Uashat Mak Mani-Utenam (ITUM) band council have agreed to suspend any legal proceedings against Consolidated Thompson. The development work on the Bloom Lake property is continuing, and the call-for-tenders process and the mobilization of all the personnel required to undertake the preparation work at the site have been finalized.

Both the Chief of the band council representing ITUM, Mr. Georges-Ernest Gregoire, and the President of Consolidated Thompson, Mr. Richard Quesnel, said they were pleased that an agreement has now been reached and that harmonious relations have been established, paving the way for a development project that will benefit the region.

About Consolidated Thompson

Consolidated Thompson is a Canadian exploration and development company with over 80 million shares outstanding and trades on the Toronto Stock Exchange (TSX) under the symbol (CLM).

Located in the regional municipality of Caniapiscau, 13 km northwest of the town of Fermont and 8 km north of the Mont-Wright deposit, the Bloom Lake project represents an initial investment in the order of $410 M. Some 400 jobs will be created by the construction activities, and approximately 250 direct jobs will subsequently be created during the operation of the mine.

Cautionary Warning regarding Forward-Looking Information

Except for statements of historical fact relating to the Company, certain information contained herein constitutes "forward-looking information" under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to AIP and its benefits, the ability of the parties to enter an industrial benefits agreement and its benefits, the development potential and timetable of Bloom Lake project, capital expenditures; permitting time lines and permitting, government regulation of mining operations; and environmental risks. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Consolidated Thompson to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks described in the annual information form of the Company posted under the profile of the Company on SEDAR at www.sedar.com. Although management of Consolidated Thompson has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Consolidated Thompson does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

Contact Information

  • Innu Takuaikan Uashat Mak Mani-Utenam (ITUM)
    Chief Georges-Ernest Gregoire
    (418) 968-2288
    or
    Consolidated Thompson Iron Mines Limited
    Richard Quesnel
    President & CEO
    (514) 249-6320
    or
    Consolidated Thompson Iron Mines Limited
    Denise Courteau
    (514) 973-7441
    Email: info@consolidatedthompson.com
    Website: www.consolidatedthompson.com